AIR cargo demand softened in September, according to the International Air Transport Association.

Global demand, measured in cargo tonne-kilometres (CTKs), fell 10.6% from figures reported in September 2021 (-10.6% also for international operations), but continued to track at near pre-pandemic levels (-3.6%).

Capacity was 2.4% above September 2021 levels (+5.0% for international operations) but still 7.4% below September 2019 levels (-8.1% for international operations).

IATA said the latest global goods trade figures showed a 5.2% expansion in August, which it considers a positive sign for the global economy.

IATA expects the global goods trade expansion to primarily benefit maritime cargo, with a slight boost to air cargo as well.

It also noted oil prices remained stable in September and the jet fuel crack spread fell from a peak in June.

“While air cargo’s activity continues to track near to 2019 levels, volumes remain below 2021’s exceptional performance as the industry faces some headwinds,” IATA director general Willie Walsh said.

“At the consumer level, with travel restrictions lifting post-pandemic, people are likely to spend more on vacation travel and less on e-commerce,” he said.

“And at the macro-level, increasing recession warnings are likely to have a negative impact on the global flows of goods and services, balanced slightly by a stabilisation of oil prices.

“Against this backdrop, air cargo is bearing up well. And a strategic slow-down in capacity growth from 6.3% in August to 2.4% in September demonstrates the flexibility the industry has in adjusting to economic developments.”

IATA said Asia-Pacific airlines saw air cargo volumes decrease by 10.7% in September 2022 compared to the same month in 2021. This was a decline in performance compared to August (-8.3%).

Airlines in the region are still being impacted by the conflict in Ukraine, labour shortages, and lower levels of trade and manufacturing activity due to Omicron-related restrictions in China.

Available capacity in the Asia-Pacific region increased by 2.8% compared to 2021.

North American carriers posted a 6% decrease in cargo volumes in September 2022 compared to the same month in 2021.

IATA said this was a decline in performance compared to August (3.4%), but capacity was up 4.6% compared to that of September 2021.

European carriers saw a 15.6% decrease in cargo volumes in September 2022 compared to the same month in 2021.

IATA said the region’s performance was on a par with its performance in August (-15.1%), attributable to the war in Ukraine.

Labour shortages and high inflation levels, most notably in Turkey, also affected volumes in Europe. Capacity increased 0.2% in September 2022 compared to September 2021.

In the Middle East, carriers experienced a 15.8% year-on-year decrease in cargo volumes in September 2022.

IATA said this was the worst performance of all regions and a significant decline compared to the previous month (-11.3%).

Stagnant cargo volumes to and from Europe reportedly impacted performance in the Middle East. Capacity was down 2.8% compared to September 2021.

Latin American carriers reported an increase of 10.8% in cargo volumes in September 2022 compared to the same month last year, marking the strongest performance of all regions.

IATA said airlines in Latin America have shown optimism by introducing new services and capacity, and in some cases investing in additional aircraft for air cargo in the coming months. Capacity in September was up 18.4% compared to the same month in 2021.

And African airlines saw cargo volumes increase by 0.1% in September 2022 compared to September 2021.

IATA said airlines in Africa experienced a slight decrease in the growth recorded the previous month (1%). Capacity was 4.1% below September 2021 levels.